Financing completed - is the interest rate good?

Hello everyone,

we have now finalized our financing with my house bank about a week ago! 350,000€ over 15 years at 1.76%; payment 1096€

(We bought the land for 98,000€ with equity
I am currently on my second parental leave and afterwards will initially work only a mini-job (450€), HE net 2500€ + 2x child benefit)

We have a good feeling about having the financing with our house bank... However, there was no better interest rate possible!

I know you shouldn’t watch the interest rates after signing... but I did, and at Interhyp for example, better interest rates are available for 80% loan-to-value....
In the end, that would mean paying between 50-100€ less per month...
But whether you actually get that interest rate... You don’t know how they would classify you and how it would work if problems occur...

What do you think? Can we still be satisfied with the interest rate of 1.76%?

I would be grateful for your opinions!

Best regards

Having this discussion now is more philosophical than sensible.

Just imagine that the interest rate at Interhyp today was 2.2%.

Can we still be satisfied with the interest rate of 1.76%? Best regards

Yes.

I would be more worried about what happens to the remaining debt of about 230,000 euros after the 15 years. With such a high loan amount and the low interest rate, the repayment would be too low for me. Paid off for 15 years and still 2/3 of the loan amount outstanding... I couldn't sleep well with that.

Right... I had some worries about that for a while too!

However, it should be manageable; we're trying to put a lot into special repayments to reduce the remaining debt to about 160,000 +/-! We own a single-family house that we will rent out for about 850 cold (very high demand)... the rental house will then be for you, build reserves for the old house from the rental income, and the rest will be paid as a special repayment for the new house at the end of the year!

And if we see that it doesn't work after 10/15 years, we will try to sell the property... currently a good market, and if it comes to that, we'll see, but then it will be sold inexpensively! The latter would only happen if there really is no other way....

Thanks for your opinions!

Wanted to write "350k loan with 3000 EUR net income... but that is very bold"

BUT with the security of the existing single-family house and land as equity... it sounds quite solid. And the interest rate of 1.76 is really great! We signed at 1.90 a few months ago. Are we annoyed now? No... let it go...